Basque Country
Basque Country (Basque Euskadi, Spanish País Vasco) is an autonomous community with the status of historical region within Spain, the capital of which is Vitoria (Basque Gasteiz). It is part of the larger Basque native lands, which are also called the Basque Country (Basque "Euskal Herria").Government
The current Statute configures the autonomous community as a federation of the three constituent provinces, which had been ruled since their incorporation to Castile in 1200 by their own laws and institutions in what is known as the Foral System. This autonomy, similar to the one that enjoyed neighbour Navarre, was severely cut in the 19th century and largely suspended under the Fascist regime but was restored in its severed form by the Spanish Constitution of 1978.
The post-Franco Spanish Constitution of 1978 acknowleges "historical rights" and attempts compromise in the old conflict between centralism and federalism by the establishment of autonomous communities(e.g. Castile-León, Catalonia, Valencia, etc). The provincial governments (diputación foral) were restored only in the Basque Country and Navarre, but many of their powers were transferred to the new government of the Basque Country autonomous community; however, the provinces still perform tax collection in their respective territories, coordinating with the Basque, Spanish and European governments.
Under this system the Diputaciones Forales (Basque: Foru Aldundiak) administer most of each of the provinces but are coordinated and centralized by the autonomous Basque Government (Basque: Eusko Jaurlaritza, Spanish Gobierno Vasco).
The seats of the Basque Parliament and Government are in Vitoria-Gasteiz. But the Statute provides for their transference to Pamplona if Navarre ever decides to join the Basque Autonomous Community. The Parliament is formed by 25 representatives of each one of the three provinces, without considering their respective demographic weight. The Basque Parlament elects the Lehendakari (President) who forms government following regular parliamentary procedures. So far all Lehendakaris (even those in 1937 and in the exile) have been members of the Basque Nationalist Party (Eusko Alderdi Jeltzalea), moderate and Christian-Democrat, but they haven't always received comfortable majorities and have needed to form coalitions often with either pro-Spanish or pro-Basque more left-leaning parties, often governing in a difficult minority position.
The current government, led by Juan José Ibarretxe (Eusko Alderdi Jeltzalea) is supported also by left-leaning nationalists of Eusko Alkartasuna (Basque Solidarity) and Communist-dominated Ezker Batua (United Left). Both Spanish centralist parties, Partido Socialista Obrero Español (Spanish Socialist Workers' Party) and Partido Popular (People's Party) are again in the opposition as are the radical nationalists of the Basque National Liberation Movement that had to run this time under the umbrella of a new formation: Euskal Herrialdeetako Alderdi Komunista (Communist Party of the Basque Homelands).
The autonomous community has its own police force (the Ertzaintza), education and health systems, and a Basque radio/TV station. These and other attributions under the Gernika Statute have just been slowly and painfully transferred by Madrid, yet many others remain without being transferred after more than two decades of autonomy.
Bilbao
Bilbao (Basque: Bilbo) in the North of Spain, is the largest city in the Basque Country and the capital of the province of Biscay (Basque: Bizkaia). The city has over 350,000 inhabitants (2004) and is the most economically and industrially active part of Gran Bilbao, the zone in which almost half of the Basque Country's population lives. Gran Bilbao's 946,829 inhabitants are spread along the length of the Nervion River, whose banks are home also to numerous business and factories, which during the industrial revolution brought heightened prosperity to the region.

